MIRA INFORM REPORT

Report Date :

02.05.2011

Note : Registered Office of the company has been shifted from 502, Hare Kishna Complex, Opposite Kothawala Flats, Pritam Nagar, Ellisbridge, Ahmadabad, Gujarat, India to the present address w.e.f. 29.02.2008

IDENTIFICATION DETAILS

Name :	TIRUPATI FORAM LIMITED (w.e.f.29.02.1996)
Formerly Known As :	TIRUPATI FOAMS PRIVATE LIMITED
Registered Office :	Tirupati House, 4^th Floor, Near Topaz Restaurant, University Road, Polytechnic Char Rasta, Ambawadi, Ahmadabad-380015, Gujarat.
Country :	India
Financials (as on) :	31.03.2010
Date of Incorporation :	14.10.1986
Com. Reg. No.:	04-009071
CIN No.: [Company Identification No.]	L25199GJ1986PLC009071
TAN No.: [Tax Deduction & Collection Account No.]	AHMTOOL32G
PAN No.: [Permanent Account No.]	AAACT5741N
Legal Form :	Public limited liability company. The company shares listed to the Stock Exchange.
Line of Business :	Manufacturer of Industrial Foam.

RATING & COMMENTS

MIRA’s Rating :

Ba (48)

RATING		STATUS	PROPOSED CREDIT LINE
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory

Maximum Credit Limit :	USD 580000
Status :	Satisfactory
Payment Behaviour :	Usually Correct
Litigation :	Clear
Comments :	Subject is a well established company having satisfactory track. Trade relations are reported as fair. Business is active. Payments are reported to be usually correct and as per commitments. The company can be considered normal for business dealings at usual trade terms and conditions.

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – April 1, 2010

Country Name	Previous Rating (31.12.2009)	Current Rating (01.04.2010)
India	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

INFORMATION PARTED BY

Name :	Mr. Amit Mehta
Designation :	Key Executive
Contact No.:	91-9825262635
Date :	30.04.2011

LOCATIONS

Registered Office :	Tirupati House, 4^th Floor, Near Topaz Restaurant, University Road, Polytechnic Char Rasta, Ambawadi, Ahmadabad-380015, Gujarat, India
Tel. No.:	91-79-26304652
Mobile No.:	91-9825263645 (Mr. Amit Mehta)
Fax No.:	91-79-26304658
E-Mail :	tirufoam@tirupatifoam.com
Website :	www.tirupatifoam.com
Area :	5000 sq. ft.
Location :	Owned
Factory :	Plot No.4-A, Block No.65, Village Khatraj, Post Khatraj, Taluka Kalol, District, Gandhinagar, India
Tel. No.:	91-2764-281049 / 281224
Fax No.:	91-2764-281225

DIRECTORS

As On : 30.09.2010

Name :	Mr. Venibhai Bhudarji Purohit
Designation :	Chairman
Address :	601, Gurukripa Apartment, Near Sharda Apartment, Ramchandra Lane, Malad (west), Mumbai, Maharashtra, India
Date of Birth/Age :	15.07.1933
Date of Appointment :	14.10.1986
DIN No :	00155932
Name :	Mr. Manharlal Amritlal Mehta
Designation :	Chairman
Address :	6-8, Matangi Building, 17 Marve Road, Malad - West, Mumbai, Maharashtra, India
Date of Birth/Age :	30.09.1951
Date of Appointment :	14.10.1986
DIN No :	00156016
Name :	Mr. Rohankumar Poonamchand Sanghvi
Designation :	Managing Director
Address :	289/A, Manekbaug Society, Behind Manekbaug Hall, Near Nehrunagar Char Rasta, Ahmadabad, Gujarat, India
Date of Birth/Age :	27.06.1966
Date of Appointment :	17.08.1993
DIN No :	01006989
Name :	Mr. Satiskumar Amritlal Mehta
Designation :	Director
Address :	68, Tapovan Society, Near Manekbaug Society, Shanti Tower's Gali, Arnbavadi, Ahmadabad, Gujarat, India
Date of Birth/Age :	04.05.1962
Date of Appointment :	17.08.1993
DIN No :	01007020
Name :	Mr. Deepakkumar Takhtmal Mehta
Designation :	Director
Address :	11, Tapovan Society, Opposite lain Upashray, Ambawadi, Ahmadabad, Gujarat, India
Date of Birth/Age :	30.09.1966
Date of Appointment :	24.05.1995
DIN No :	00156096
Name :	Mr. Mukeshbhai Babulal Kothari
Designation :	Director
Address :	3/8, Malad Cooperative Society, Podar Road, Malad (East), Mumbai, Maharashtra, India
Date of Birth/Age :	1304.1965
Date of Appointment :	24.04.1995
DIN No :	00156145
Name :	Mr. Mukeshkumar Babulal Shah
Designation :	Director
Address :	Bunglow No. 22, Adarsh - 23, Opposite Swati Bunglows, Bodakdev, Ahmadabad – 380059, Gujarat, India
Date of Birth/Age :	28.12.1961
Date of Appointment :	14.10.1986
DIN No :	01711956

MAJOR SHAREHOLDERS / SHAREHOLDING PATTERN

AS ON 31.12.2010

Category of Shareholder	Total No. of Shares	Percentage of Holding
(A) Shareholding of Promoter and Promoter Group
(1) Indian
Individuals / Hindu Undivided Family	2302450	52.25
Sub Total	2302450	52.25
(2) Foreign
Total shareholding of Promoter and Promoter Group (A)	2302450	52.25
(B) Public Shareholding
(1) Institutions
Any others (Specify)	2581	0.06
Any Other	2581	0.06
Sub Total	2581	0.06
(2) Non-Institutions
Bodies Corporate	57004	1.29
Individuals
Individual shareholders holding nominal share capital up to Rs.0.100 million	412383	9.36
Individual shareholders holding nominal share capital in excess of Rs.0.100 million	1632532	37.04
Any others (Specify)	50	--
Clearing Members	50	--
Sub Total	2101969	47.70
Total Public shareholding (B)	2104550	47.75
Total (A)+(B)	4407000	100.00

BUSINESS DETAILS

Line of Business :

Manufacturer of Industrial Foam.

Products :

ITC CODE	PRODUCT
382113	Flexible Polyurethane Foam

Terms :

Selling :

Cash, Credit (30 / 60 / 90 days)

Purchasing :

Cash, Credit (30 / 60 / 90 days)

PRODUCTION STATUS (As On : 31.03.2010)

Particulars	Unit	Licensed Capacity	Installed Capacity	Actual Production
Flexible Polyurethane Foam	MT	NA	6000	--

GENERAL INFORMATION

Customers :

· End Users

· OEM’s

No. of Employees :

200 (Approximately)

Bankers :

· Bank of India, Ellisbridge Branch, Ahmadabad-380006, Gujarat, India

Facilities :

SECURED LOAN	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
Bank of India Term Loan	0.000	0.000
Working Capital Loan	43.115	33.663
(All the limits are secured against Raw Materials, Finished Goods, Stock-in-process and Book Debts and first charge over fixed assets of the company and by personal guarantee of all the Directors)	0	0
ICICI Bank Limited	0.194	0.372
(Secured by hypothecation of specific cars)
Total	43.309	34.035
UNSECURED LOAN	31.03.2010 Rs. In Millions	31.03.2009 Rs. In Millions
From Directors and Relatives	18.783	24.090
From Shareholders	3.768	0.684
Total	22.551	24.774

Banking Relations :	--
Auditors :
Name :	Mayank shah and Associates Chartered Accountant
Address :	706, Mahakant, Opposite, V. S. Hospital, Ellisbridge, Ahmadabad-380006, Gujarat, India

CAPITAL STRUCTURE

As On : 31.03.2010

Authorised Capital :

No. of Shares	Type	Value	Amount
4600000	Equity Shares	Rs. 10/- each	Rs. 46.000 millions

Issued, Subscribed & Paid-up Capital :

No. of Shares	Type	Value	Amount
4407000	Equity Shares	Rs. 10/- each	Rs. 44.070 millions

FINANCIAL DATA

[all figures are in Rupees Millions]

ABRIDGED BALANCE SHEET

SOURCES OF FUNDS		31.03.2010	31.03.2009	31.03.2008
SHAREHOLDERS FUNDS
1] Share Capital		44.070	44.070	34.220
2] Share Application Money		0.000	0.000	3.546
3] Reserves & Surplus		103.303	92.935	64.188
4] (Accumulated Losses)		0.000	0.000	0.000
NETWORTH		147.373	137.005	101.954
LOAN FUNDS
1] Secured Loans		43.309	34.035	46.931
2] Unsecured Loans		22.551	24.774	36.137
TOTAL BORROWING		65.860	58.809	83.068
DEFERRED TAX LIABILITIES		9.933	19.446	26.844
TOTAL		223.166	215.260	211.866
APPLICATION OF FUNDS
FIXED ASSETS [Net Block]		56.932	58.987	62.214
Capital work-in-progress		0.000	0.000	0.000
INVESTMENT		0.003	0.003	0.002
DEFERREX TAX ASSETS		0.000	0.000	0.000
CURRENT ASSETS, LOANS & ADVANCES
	Inventories	74.772	49.434	27.932
	Sundry Debtors	120.894	123.827	129.787
	Cash & Bank Balances	5.617	12.915	1.842
	Other Current Assets	0.000	0.000	0.000
	Loans & Advances	48.824	25.420	18.074
Total Current Assets		250.107	211.596	177.635
Less : CURRENT LIABILITIES & PROVISIONS
	Sundry Creditors	49.922	22.741	5.573
	Other Current Liabilities	5.587	3.278	2.840
	Provisions	28.367	29.307	19.572
Total Current Liabilities		83.876	55.326	27.985
Net Current Assets		166.231	156.270	149.650
MISCELLANEOUS EXPENSES		0.000	0.000	0.000
TOTAL		223.166	215.260	211.866

PROFIT & LOSS ACCOUNT

	PARTICULARS		31.03.2010	31.03.2009	31.03.2008
	SALES
		Income	487.834	452.858	469.989
		Goods Burnt by Fire	0.593	0.000	0.000
		Other Income	4.340	1.747	0.068
		TOTAL (A)	492.767	454.605	470.057
Less	EXPENSES
		Cost of Materials	423.529	392.280	405.801
		Manufacturing Expenses	8.180	6.767	5.392
		Selling and Distribution Expenses	12.319	12.060	9.744
		Administrative Expenses	7.666	9.694	6.437
		Exceptional Item	0.000	0.000	(10.857)
		TOTAL (B)	451.694	420.801	416.515
Less	PROFIT BEFORE INTEREST, TAX, DEPRECIATION AND AMORTISATION (A-B) (C)		41.073	33.804	53.542
Less	FINANCIAL EXPENSES (D)		5.583	7.734	8.708
	PROFIT BEFORE TAX, DEPRECIATION AND AMORTISATION (C-D) (E)		35.490	26.070	44.834
Less/ Add	DEPRECIATION/ AMORTISATION (F)		5.494	5.943	5.607
	PROFIT BEFORE TAX (E-F) (G)		29.996	20.127	39.227
Less	TAX (H)		9.359	6.679	13.497
	PROFIT AFTER TAX (G-H) (I)		20.637	13.448	25.730
Add	PREVIOUS YEARS’ BALANCE BROUGHT FORWARD		22.559	20.432	5.343
Add	Excess Tax Provision for Earlier Years		0.044	0.000	(0.059)
Less	APPROPRIATIONS
		Transfer to General Reserve	1.550	1.010	2.575
		Dividend	8.814	8.814	6.844
		Tax on Dividend	1.498	1.497	1.163
	BALANCE CARRIED TO THE B/S		31.378	22.559	20.432
	IMPORTS
		Raw Materials	48.789	80.008	46.358
	TOTAL IMPORTS		48.789	80.008	46.358
	Earnings Per Share (Rs.)		4.68	3.46	7.52

Sales (2010-2011) : Rs.520.000 millions (Approximately)

Expected Sales (2011-2012) : Rs.550.000 millions.

QUARTERLY RESULTS

(Rs. In Millions)

PARTICULARS	30.06.2010	30.09.2010	31.12.2010
	1^st Quarter	2^nd Quarter	3^rd Quarter
Net Sales	137.820	138.950	156.640
Total Expenditure	128.710	123.410	137.880
PBIDT (Excl OI)	9.110	15.540	18.760
Other Income	1.160	1.050	1.050
Operating Profit	10.270	16.590	19.810
Interest	1.740	2.250	2.880
Exceptional Items	0.000	0.000	0.000
PBDT	8.530	14.340	16.930
Depreciation	1.120	1.570	1.410
Profit Before Tax	7.410	12.770	15.510
Tax	2.480	4.480	4.690
Provisions and contingencies	0.000	0.000	0.000
Profit After Tax	4.930	8.290	10.820
Extraordinary Items	0.000	0.000	0.000
Prior Period Expenses	0.000	0.000	0.000
Other Adjustments	0.000	0.000	0.000
Net Profit	4.930	8.290	10.820

KEY RATIOS

PARTICULARS		31.03.2010	31.03.2009	31.03.2008
PAT / Total Income	(%)	4.19	2.96	5.47
Net Profit Margin (PBT/Sales)	(%)	6.15	4.44	8.35
Return on Total Assets (PBT/Total Assets}	(%)	9.77	7.44	16.35
Return on Investment (ROI) (PBT/Networth)		0.20	0.15	0.39
Debt Equity Ratio (Total Liability/Networth)		1.08	0.98	1.35
Current Ratio (Current Asset/Current Liability)		2.99	3.82	6.35

LOCAL AGENCY FURTHER INFORMATION

SUNDRY CREDITORS DETAILS

(Rs. in millions)

Particulars	31.03.2010	31.03.2009	31.03.2008
Sundry Creditors
- For Goods	45.448	21.559	2.893
- For Expenses	4.474	1.182	2.680
Total	49.922	22.741	5.573

OPERATIONS

The Company was able to achieve Sales including other income of Rs.492.766 millions as compared to Rs.454.605 millions for the Previous Year. The Profit before Tax and Depreciation was Rs.35.499 millions for period as compared to Rs.26.070 millions for the Previous Year. The Net Profit after making the provision for Depreciation and Taxation stood at Rs.20.637 millions as against Rs.13.448 millions for the previous year. The Directors are please to report that in spite of fierce competition the company was able to perform well due to well accepted quality products and well established marketing network of dealers throughout the India. During the year company has incurred Capital Expenditure of Rs.8.477 millions

NEW FACTORY

The company has started setting up of new factory at Plot No. 4, Echotech I, Extension Greater Nodia Ind Area Dist: Gautambuddh Nagar, Uttar Pradesh at the total cost of Rs.382.500 millions with the help of internal accruals and term financing from banks / institute to cater the Northern Indian Market.

MANANGEMENT DISCUSSION AND ANALYSIS

DISCLAIMER

Readers are cautioned that this discussion and analysis contains forward looking statements that involve risks and uncertainties. The company undertakes no obligations to publicly update or revised any forward looking statements, whether as a result of new information, future events, or otherwise, Actual results, performance or achievements, risks and opportunities could differ materially from those expressed or implied in these forward looking statements.

OVERVIEW

Although volatile and uneven, the Indian economy recovered in 2009-10. Specifically the latter half of 2009-10 saw a significant improvement with the positive turnaround of the industrial and external trade segments of the Indian economy.

Industry Structure and Development

The financial year 2009-10 was a challenging one for most of the economies globally. Flexible Polyurethane Foam industry also remained under pressure and there was no significant growth. The Company registered flat sales during the year. Despite falling prices and intense competition from imported as well as low cost producers, the Company was able to sustain its performance due to introduction of new products and improvement in product efficiency. The brand “Sweet dream” of the company was extensively advertised through various modes and dealership network and loyalty helped the company to achieve targets during the year

FORM 8

Corporate identity number of the company	L25199GJ1986PLC009071
Name of the company	TIRUPATI FOAM LTD
Address of the registered office or of the principal place of business in India of the company	Tirupati House, 4^th Floor, Near Topaz Restaurant, University Road, Polytechnic Char Rasta, Ambawadi, Ahmadabad-380015, Gujarat, India
This form is for	Modification of charge
Type of charge	Book debts
Particular of charge holder	Bank of India, Ellisbridge Branch, Ahmadabad-380006, Gujarat, India
Nature of instrument creating charge	Fourth Supplemental Deed of hypothecation of book debts
Date of instrument Creating the charge	01.12.2010
Amount secured by the charge	Rs. 82.500 millions
Brief of the principal terms an conditions and extent and operation of the charge	Rate of interest 1% below BPLR, Min 10.50% p.a. and as per FEDAI/Bank's Rule Terms of repayment The limit are continuous and payable on demand Margin 25% on stocks, 30% on book debts and 15% on LC(D/P) and LC(D/A) and 25% on guarantee Extent and operation of the charge Addition Cash Credit facilities of Rs.32.500 millions are sanctioned against hypothecation of book debts Other Other terms and conditions as per the agreement enclosed herewith
Short particulars of the property charged (Including location of the property)	All the book debts, outstanding moneys, receivables, claims and bills which are now give or which may herein after became due
Charge identification number of the charge to be modified	80023086
Date of instrument modifying the charge	09.02.2007
Particulars of the present modification	Aggregate limits has been increased from Rs.50.000 millions to Rs.82.500 millions by additional cash credit limits against hypothecation of book debts

FIXED ASSETS

· Land

· Factory Building

· Office Building

· Plant and Machinery

· Vehicles

· Office Equipments

· Furniture

· Motor Cars

UNAUDITED FINANCIAL RESULTS FOR QUARTER ENDED 31^ST DECEMBER, 2010

(Rs. in millions)

Sr. No.	Particular	Unaudited	Unaudited
		Quarter ended 31.12.2010	Quarter ended 31.12.2010
1.	Gross Sales / Income
	a. Net Sales / Income from Operations (Net of Excise and Discounts)	156.637	433.413
	b. Other Operating Income	0.000	0.000
	Total Income (a+b)	156.637	433.413
2.	Expenditure
	a) (Increase) / Decrease in Stock in Trade and Work In Process	4.581	1.500
	b) Consumption of Raw Materials (Net)	122.994	362.905
	c) Purchase of Traded Goods	0.000	0.046
	d) Employee Cost	0.559	1.338
	e) Depreciation	1.404	4.087
	f) Other Expenditure	9.752	24.232
	g) Total Expenditure (a to f)	139.290	394.108
3.	Profit From Operations before Other Income, Interest and Exceptional Items (1-2)	17.347	39.305
4.	Other Income	1.049	3.258
5.	Profit Before Interest and Exceptional Items (3+4)	18.396	42.563
6.	Interest	2.882	6.874
7.	Profit After Interest but before Exceptional Items (5-6)	15.514	35.689
8.	Exceptional Items	--	--
9.	Profit from Ordinary Activities before Tax (7+8)	15.514	35.689
10.	Tax Expense	4.692	11.650
11.	Net Profit from Ordinary Activities after Tax (9-10)	10.822	24.039
12.	Extraordinary Item (net of expense)	--	--
13.	Net Profit for the period (11-12)	10.822	24.039
14.	Paid-up Equity Share Capital (Face Value of Rs.10/- Each)	44.070	44.070
15.	Reserves Excluding Revaluation Reserve	--	--
16.	Basic and Diluted Earning Per Share (EPS) (Rs.)-Not Annualised
	a) Basic and diluted EPS before extraordinary items	2.46	5.45
	b) Basic and diluted EPS after extraordinary items	2.46	5.45
17.	Public Shareholding
	-Number of Shares	2104550	2104550
	- Percentage of Shareholding	47.75	47.75
18.	Promoters and Promoter Group Shareholding
	a) Pledged/Encumbered
	- Number of Shares	Nil	Nil
	- Percentage of Shares (as a % of the Total Shareholding of promoter and promoter group)	Nil	Nil
	- Percentage of Shares (as a % of the Total Share Capital of the Company)	Nil	Nil
	b) Non Encumbered
	- Number of Shares	2302450	2302450
	- Percentage of Shares (as a % of the Total Shareholding of Promoter and Promoter Group)	100	100
	- Percentage of Shares (as a % of the Total Share Capital of the Company)	52.25	52.25

Notes :

1. The company has received Nil companies during the quarter. There are no complaints pending on 31.12.2010

2. There are no subsidiary company.

3. The company is primarily manufacture of U foam and managed organizationally as a single unit. Accordingly the company is an single unit segment company.

4. The above result have been reviewed by the Audit Committee and taken on record by the Board of Director at their meeting held on 31^st January 2011 and has been approved for release. The auditors have carried out limited review of above results.

5. The previous years figures have been regrouped wherever necessary.

CMT REPORT (Corruption, Money Laundering & Terrorism]

The Public Notice information has been collected from various sources including but not limited to: The Courts, India Prisons Service, Interpol, etc.

1] INFORMATION ON DESIGNATED PARTY

No records exist designating subject or any of its beneficial owners, controlling shareholders or senior officers as terrorist or terrorist organization or whom notice had been received that all financial transactions involving their assets have been blocked or convicted, found guilty or against whom a judgement or order had been entered in a proceedings for violating money-laundering, anti-corruption or bribery or international economic or anti-terrorism sanction laws or whose assets were seized, blocked, frozen or ordered forfeited for violation of money laundering or international anti-terrorism laws.

2] Court Declaration :

No records exist to suggest that subject is or was the subject of any formal or informal allegations, prosecutions or other official proceeding for making any prohibited payments or other improper payments to government officials for engaging in prohibited transactions or with designated parties.

3] Asset Declaration :

No records exist to suggest that the property or assets of the subject are derived from criminal conduct or a prohibited transaction.

4] Record on Financial Crime :

Charges or conviction registered against subject: None

5] Records on Violation of Anti-Corruption Laws :

Charges or investigation registered against subject: None

6] Records on Int’l Anti-Money Laundering Laws/Standards :

Charges or investigation registered against subject: None

7] Criminal Records

No available information exist that suggest that subject or any of its principals have been formally charged or convicted by a competent governmental authority for any financial crime or under any formal investigation by a competent government authority for any violation of anti-corruption laws or international anti-money laundering laws or standard.

8] Affiliation with Government :

No record exists to suggest that any director or indirect owners, controlling shareholders, director, officer or employee of the company is a government official or a family member or close business associate of a Government official.

9] Compensation Package :

Our market survey revealed that the amount of compensation sought by the subject is fair and reasonable and comparable to compensation paid to others for similar services.

10] Press Report :

No press reports / filings exists on the subject.

CORPORATE GOVERNANCE

MIRA INFORM as part of its Due Diligence do provide comments on Corporate Governance to identify management and governance. These factors often have been predictive and in some cases have created vulnerabilities to credit deterioration.

Our Governance Assessment focuses principally on the interactions between a company’s management, its Board of Directors, Shareholders and other financial stakeholders.

CONTRAVENTION

Subject is not known to have contravened any existing local laws, regulations or policies that prohibit, restrict or otherwise affect the terms and conditions that could be included in the agreement with the subject.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.44.38
UK Pound	1	Rs.73.87
Euro	1	Rs.65.83

SCORE & RATING EXPLANATIONS

SCORE FACTORS	RANGE	POINTS
HISTORY	1~10	6
PAID-UP CAPITAL	1~10	5
OPERATING SCALE	1~10	6
FINANCIAL CONDITION
--BUSINESS SCALE	1~10	5
--PROFITABILIRY	1~10	5
--LIQUIDITY	1~10	6
--LEVERAGE	1~10	5
--RESERVES	1~10	5
--CREDIT LINES	1~10	5
--MARGINS	-5~5	--
DEMERIT POINTS
--BANK CHARGES	YES/NO	YES
--LITIGATION	YES/NO	NO
--OTHER ADVERSE INFORMATION	YES/NO	NO
MERIT POINTS
--SOLE DISTRIBUTORSHIP	YES/NO	NO
--EXPORT ACTIVITIES	YES/NO	NO
--AFFILIATION	YES/NO	NO
--LISTED	YES/NO	YES
--OTHER MERIT FACTORS	YES/NO	YES
TOTAL		48

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.